Victoria's Secret & Co (VSCO)

Profitability ratios

Return on sales

Feb 3, 2024 Oct 28, 2023 Jul 29, 2023 Apr 29, 2023 Jan 28, 2023 Oct 29, 2022 Jul 30, 2022 Apr 30, 2022
Gross profit margin 36.86% 35.83% 35.94% 36.11% 35.93% 36.65% 37.59% 39.03%
Operating profit margin 4.04% 3.83% 5.60% 6.66% 7.62% 8.79% 9.61% 11.03%
Pretax margin 2.32% 2.31% 4.33% 5.61% 6.81% 8.11% 8.94% 10.50%
Net profit margin 1.81% 1.69% 3.23% 4.32% 5.54% 6.52% 7.17% 8.27%

Victoria's Secret & Co's profitability ratios have shown some fluctuations over the past eight quarters. The gross profit margin has ranged from 35.83% to 39.03%, with the latest figure at 36.86%. This indicates that the company has been able to manage its cost of goods sold to generate a consistent level of gross profit.

The operating profit margin has varied between 3.83% and 11.03%, with the latest figure at 4.04%. This suggests that the company's operating expenses have impacted its profitability, potentially indicating the need for efficiency improvements.

The pretax margin has fluctuated between 2.31% and 10.50%, with the most recent figure at 2.32%. This ratio reflects the company's ability to generate profits before accounting for taxes, with lower margins potentially indicating higher tax burdens or operational inefficiencies.

The net profit margin has ranged from 1.69% to 8.27%, with the latest figure at 1.81%. This ratio shows the company's bottom-line profitability after accounting for all expenses, including taxes. The declining trend in the net profit margin suggests that Victoria's Secret & Co may be facing challenges in maintaining profitability at the net income level.

Overall, Victoria's Secret & Co's profitability ratios show a mixed performance, indicating potential areas for improvement in cost management, operating efficiency, and overall profitability.


Return on investment

Feb 3, 2024 Oct 28, 2023 Jul 29, 2023 Apr 29, 2023 Jan 28, 2023 Oct 29, 2022 Jul 30, 2022 Apr 30, 2022
Operating return on assets (Operating ROA) 5.35% 4.93% 7.54% 9.38% 10.17% 13.71% 15.55% 18.15%
Return on assets (ROA) 2.39% 2.18% 4.35% 6.08% 7.39% 10.16% 11.59% 13.60%
Return on total capital 15.61% 13.14% 22.21% 27.15% 29.44% 38.88% 52.04% 61.46%
Return on equity (ROE) 26.38% 46.36% 70.61% 101.13% 90.86% 179.15% 191.09% 243.61%

Victoria's Secret & Co has shown a consistent performance in terms of profitability ratios over the periods analyzed. The Operating Return on Assets (Operating ROA) has ranged from 5.35% to 18.15%, indicating the company's ability to generate operating income relative to its total assets. The Return on Assets (ROA) has ranged from 2.39% to 13.60%, demonstrating the efficiency of using assets to generate profits.

Moreover, the Return on Total Capital has shown a substantial increase from 15.61% to 61.46%, highlighting the company's ability to generate returns for both equity and debt providers. The Return on Equity (ROE) has been volatile, ranging from 26.38% to 243.61%, with significant fluctuations indicating variability in generating profits for shareholders relative to their equity investment.

Overall, Victoria's Secret & Co's profitability ratios suggest a strong financial performance, with a consistent ability to generate returns on assets, capital, and equity over the periods analyzed. Continued monitoring of these ratios will be essential to assess the company's financial health and sustainability in the long run.